Question 31
MediumOriginal questionA farmer can grow wheat or mustard on the same land. The price of mustard rises sharply. The supply of wheat
Show the answer and explanation
CorrectNot quiteAnswer B
Correct answer: B
Explanation
Mustard is now the more rewarding use of the land, so some land moves out of wheat.
Less wheat is offered at every wheat price: a decrease in supply.
- Concept
- Price of another good and supply
- Typical timeTypical
- 70 s
- Your timeYours
- —
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